Simon, the nation’s largest developer, owner and operator of shopping centers, posted gains across a spectrum of metrics, encouraging the company to raise its outlook on funds from real estate operations for the year and its dividend.
For the first quarter ended March 31, net income attributable to common stockholders was $479.6 million, or $1.48 per diluted share, compared to $413.7 million, or $1.27 per diluted share in 2025.
Real estate funds from operations rose to $1.21 billion, or $3.17 per diluted share, from $1.11 billion, or $2.95 per diluted share in the prior year, an increase of 7.5 percent.
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Funds from operations increased to $1.11 billion, or $2.91 per diluted share, compared to slightly more than $1 billion, or $2.67 per diluted share, in the prior year, an increase of 9 percent.
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At Simon’s U.S. malls and Premium Outlet centers, occupancy at March 31 was 96 percent, compared to 95.9 percent a year ago.
“We are very pleased with our first-quarter results,” Eli Simon, chief executive officer, president and chief operating officer, said in a statement Monday. “Our portfolio delivered strong operating performance, supported by continued leasing momentum, retailer sales and traffic increases, disciplined capital allocation, and growth in cash flow.”
Simon’s board of directors declared a quarterly common stock dividend of $2.25 for the second quarter of 2026, representing an increase of $0.15, or 7.1 percent, year-over-year. The dividend will be payable on June 30, 2026 to shareholders of record on June 9, 2026.
In addition, Simon raised its 2026 outlook for real estate funds from operations to $13.10 to $13.25 per diluted share, from its earlier forecast of from $13 to $13.25. Net income for the year is seen reaching $6.61 to $6.76 per diluted share.
According to media reports, Simon and Saks Global have reached an agreement to keep in place a Saks Off 5th store in the Woodbury Common Premium Outlets store in Central Valley, N.Y., and a Neiman Marcus store in the Stanford Shopping Center in Palo Alto, Calif. Simon was seeking to take back the leases on the Saks Global units due to rents on the properties that were not paid.
The agreement must be approved by the U.S. Bankruptcy Court for the Southern District of Texas in Houston, where Saks’ reorganization proceedings are being held.
Reportedly, the agreement involved new lease terms at some other Saks Global locations at Simon properties, including certain Saks Off 5th units, and certain full-price luxury department stores. As reported, Simon and Saks Global have been busy negotiating terms on several locations. In late March, Saks Global said it decided to keep operating two Saks Fifth Avenue stores, in Sarasota, Fla., and Palm Desert, Calif., and the Neiman Marcus store in White Plains, N.Y., that were part of the group of 24 locations previously marked for closure. All three malls are owned by Simon Property Group.
As the plan at Saks Global stands now, 15 Saks Fifth Avenue stores will stay in business, and Neiman Marcus will operate with 33 stores. This year, Saks Global has closed or is in the process of closing 18 Saks Fifth Avenue stores, three Neiman Marcus stores, 57 Saks Off 5th stores, the five Last Call clearance centers for Neiman Marcus, and the Horchow catalogue.
Saks Global expects to emerge from Chapter 11 proceedings sometime in June, with $700 million in liquidity and $1.2 billion in debt. Saks Fifth Avenue purchased the Neiman Marcus Group in December 2024 for $2.7 billion, forming Saks Global. But as business conditions turned worse, bills continued to go unpaid and debt obligations stemming from the acquisition were missed. Saks Global filed for Chapter 11 bankruptcy in January 2026.
At press time, officials from Saks Global and Simon could not be reached.